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Assembly Bill No. 174-Assemblyman Hettrick

February 13, 1997
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Referred to Committee on Government Affairs

SUMMARY--Makes various changes to provisions governing public organizations. (BDR 25-865)

FISCAL NOTE: Effect on Local Government: No.
Effect on the State or on Industrial Insurance: No.

EXPLANATION - Matter in italics is new; matter in brackets [ ] is material to be omitted.

AN ACT relating to public organizations; revising the membership of the Nevada rural housing authority; authorizing the authority to create certain nonprofit corporations to develop housing projects; authorizing general improvement districts to charge a fee for snow removal; and providing other matters properly relating thereto.

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

Section 1 NRS 315.977 is hereby amended to read as follows:
315.9771. The Nevada rural housing authority, consisting of five commissioners, is hereby created.
2. The commissioners must be appointed as follows:
(a) Two commissioners must be appointed by the Nevada League of Cities.
(b) Two commissioners must be appointed by the Nevada Association of Counties.
(c) One commissioner must be appointed [by the governor.] jointly by the Nevada League of Cities and the Nevada Association of Counties. This commissioner must be a current recipient of assistance from the authority and must be selected from a list of at least five eligible nominees submitted for this purpose by an organization which represents tenants of housing projects operated by the authority. If no such organization exists, the commissioner must be selected from a list of nominees submitted for this purpose from persons who currently receive assistance from the authority. If during his term the commissioner ceases to be a recipient of assistance, he must be replaced by a person who is a recipient of assistance.
3. After the initial terms, the term of office of a commissioner is 4 years or until his successor takes office.
4. A majority of the commissioners constitutes a quorum, and a vote of the majority is necessary to carry any question.
5. If either of the appointing entities listed in [paragraphs (a) and (b) of] subsection 2 ceases to exist, the pertinent appointments required by subsection 2 must be made by the successor in interest of that entity or, if there is no successor in interest, by the other appointing entity.
Sec. 2. NRS 315.983 is hereby amended to read as follows:
315.9831. Except as otherwise provided in NRS 354.474 and 377.057, the authority:
(a) Shall be deemed to be a public body corporate and politic, and an instrumentality, local government and political subdivision of the state, exercising public and essential governmental functions, and having all the powers necessary or convenient to carry out the purposes and provisions of NRS 315.961 to 315.996, inclusive, but not the power to levy and collect taxes or special assessments.
(b) Is not an agency, board, bureau, commission, council, department, division, employee or institution of the state.
2. The authority may:
(a) Sue and be sued.
(b) Have a seal.
(c) Have perpetual succession.
(d) Make and execute contracts and other instruments necessary or convenient to the exercise of its powers.
(e) Deposit money it receives in any insured state or national bank, insured credit union, insured savings and loan association, or in the local government pooled long-term investment account created by NRS 355.165 or the local government pooled investment fund created by NRS 355.167.
(f) Adopt bylaws, rules and regulations to carry into effect the powers and purposes of the authority.
(g) Create a nonprofit organization which is exempt from taxation pursuant to 26 U.S.C. § 501(c)(3) and which has as its principal purpose the development of housing projects.
Sec. 3. NRS 315.984 is hereby amended to read as follows:
315.984Subject to the provisions of NRS 315.986 and 315.987 [, the authority] :
1. The authority or a nonprofit corporation created pursuant to paragraph (g) of subsection 2 of NRS 315.983 may, within its area of operation [:
1. Prepare,] , prepare, carry out and operate housing projects and provide for the construction, reconstruction, improvement, extension, alteration [,] or repair of any such project or any part thereof.
2. [Administer] The authority may, within its area of operation, administer programs to subsidize that portion of a tenant's rental payments which represents the difference between the payment required in the lease and the amount paid under any program of the Federal Government.
3. [Determine] The authority may, within its area of operation, determine where there is a need for additional low-rent housing for persons of low income and where there is unsafe, insanitary or overcrowded housing.
4. [Make] The authority may, within its area of operation, make studies and recommendations relating to the problems of relieving the shortage of low-rent housing and of eliminating unsafe, insanitary or overcrowded housing.
5. [Cooperate] The authority may, within its area of operation, cooperate with the Federal Government, state agencies, local housing authorities, counties, cities, towns and other political subdivisions of the state in action taken in connection with such problems.
Sec. 4. NRS 315.993 is hereby amended to read as follows:
315.9931. The authority shall not construct or operate any housing project for profit.
2. The authority shall manage and operate its housing projects in an efficient manner so as to enable it to fix the rentals or payments for dwelling accommodations at low rates consistent with its providing decent, safe and sanitary dwelling accommodations for persons of low income.
3. The authority shall fix the rentals or payments for dwellings in its housing projects at no higher rates than are necessary to produce revenue which, together with all other available money, revenue, income and receipts of the authority from whatever sources derived, will be sufficient:
(a) To pay, as it becomes due, the principal and interest on the bonds of the authority.
(b) To create and maintain such reserves as may be required to assure the payment of principal and interest as it becomes due on its bonds.
(c) To meet the cost of, and to provide for, maintaining and operating the housing projects, including necessary reserves therefor and the cost of any insurance, and the administrative expenses of the authority.
(d) To make such payments in lieu of taxes as it determines are consistent with the maintenance of the low-rent character of the housing projects.
4. For the purposes of this section, a housing project constructed or operated by the authority that is eligible for credit for low-income housing pursuant to 26 U.S.C. § 42 is not constructed or operated for profit.
Sec. 5. NRS 318.197 is hereby amended to read as follows:
318.1971. The board may fix, and from time to time increase or decrease, electric energy, cemetery, swimming pool, other recreational facilities, television, FM radio, sewer, water, storm drainage, flood control, snow removal, lighting, garbage or refuse rates, tolls or charges other than special assessments, including, but not limited to, service charges and stand-by service charges, for services or facilities furnished by the district, charges for the availability of service, annexation charges, and minimum charges, and pledge the revenue for the payment of any indebtedness or special obligations of the district.
2. Upon compliance with subsection 9 and until paid, all rates, tolls or charges constitute a perpetual lien on and against the property served. A perpetual lien is prior and superior to all liens, claims and titles other than liens of general taxes and special assessments and is not subject to extinguishment by the sale of any property on account of nonpayment of any liens, claims and titles including the liens of general taxes and special assessments. A perpetual lien must be foreclosed in the same manner as provided by the laws of the State of Nevada for the foreclosure of mechanics' liens. Before any lien is foreclosed , the board shall hold a hearing thereon after providing notice thereof by publication and by registered or certified first-class mail, postage prepaid, addressed to the last known owner at his last known address according to the records of the district and the real property assessment roll in the county in which the property is located.
3. The board shall prescribe and enforce regulations for the connection with and the disconnection from properties of the facilities of the district and the taking of its services.
4. The board may provide for the collection of charges. Provisions may be made for, but are not limited to:
(a) The granting of discounts for prompt payment of bills.
(b) The requiring of deposits or the prepayment of charges in an amount not exceeding 1 year's charges from persons receiving service and using the facilities of the enterprise or from the owners of property on which or in connection with which services and facilities are to be used. In case of nonpayment of all or part of a bill, the deposits or prepaid charges must be applied only insofar as necessary to liquidate the cumulative amount of the charges plus penalties and cost of collection.
(c) The requiring of a guaranty by the owner of property that the bills for service to the property or the occupants thereof will be paid.
5. The board may provide for a basic penalty for nonpayment of the charges within the time and in the manner prescribed by it. The basic penalty must not be more than 10 percent of each month's charges for the first month delinquent. In addition to the basic penalty, the board may provide for a penalty of not exceeding 1.5 percent per month for nonpayment of the charges and basic penalty. On the first day of the calendar month following the date of payment specified in the bill the charge becomes delinquent if the bill or that portion thereof which is not in bona fide dispute remains unpaid. The board may provide for collection of the penalties provided for in this section.
6. The board may provide that charges for any service must be collected together with and not separately from the charges for any other service rendered by it, and that all charges must be billed upon the same bill and collected as one item.
7. The board may enter into a written contract with any person, firm or public or private corporation providing for the billing and collection by the person, firm or corporation of the charges for the service furnished by any enterprise. If all or any part of any bill rendered by the person, firm or corporation pursuant to a contract is not paid and if the person, firm or corporation renders any public utility service to the person billed, the person, firm or corporation may discontinue its utility service until the bill is paid, and the contract between the board and the person, firm or corporation may so provide.
8. As a remedy established for the collection of due and unpaid deposits and charges and the penalties thereon an action may be brought in the name of the district in any court of competent jurisdiction against the person or persons who occupied the property when the service was rendered or the deposit became due or against any person guaranteeing payment of bills, or against any or all such persons, for the collection of the amount of the deposit or the collection of delinquent charges and all penalties thereon.
9. A lien against the property served is not effective until a notice of the lien, separately prepared for each lot affected, is:
(a) Mailed to the last known owner at his last known address according to the records of the district and the real property assessment roll of the county in which the property is located;
(b) Delivered by the board to the office of the county recorder of the county within which the property subject to such lien is located;
(c) Recorded by the county recorder in a book kept by him for the purpose of recording instruments encumbering land; and
(d) Indexed in the real estate index as deeds and other conveyances are required by law to be indexed.
Sec. 6. As soon as practicable after December 31, 1997, the Nevada League of Cities and the Nevada Association of Counties shall appoint to the Nevada rural housing authority the commissioner appointed pursuant to paragraph (c) of subsection 1 of NRS 315.977.
Sec. 7. This act becomes effective upon passage and approval.

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